During a recent seminar, I heard a training and peer support group provider say that 50% of the tire dealership owners listening to his presentation would be out of the business in two to three years. And he said there’s nothing they could do about it.
That didn’t sit well with everything I know about the spirit and strength of independent tire dealers.
With all of my heart, I disagreed with his assessment!
However, I will say that creating something that resonates with customers and employees well beyond your involvement, especially when scale is at hand, requires a different type of leadership.
When you scale your business, you have to place and train new leaders to fill the roles you should leave behind.
Training these folks takes a totally different skill set than what you use to just get through the day. In fact, you need to undergo a professional transformation of your own. This takes a dialed-in, step-by-step vision, plus time, patience and resources.
In most well-run tire dealerships, there’s usually one person who contributes most to the overall customer experience. The best example of this is when you place a new hire on your team and all of a sudden you see very positive results in a short amount of time. This new addition brings something to your business that has either been missing or hasn’t been prioritized and managed well. In one form or another, that person has brought in a system or process that affects behavior.
However, if the difference in performance hinges heavily on one person, your model isn’t scalable. This applies to a single location dealership as much, if not more, than multi-location dealerships.
That's where systems supported by solid processes become integral. After all, it's finely tuned and consistent behaviors that shape your customers' experiences and your bottom line.
Here’s the most impactful and most prevalent example we see today: your vehicle inspection system. Most call it a “process.” Really, though, a vehicle inspection system is made up of a series of processes, with you — as the dealership’s owner — acting as the link between customer service and vehicle service.
You make sure that expectations are set and the inspection is discussed with the customer. You make sure promised times are agreed upon. You then review, organize and assign the work. You make sure other work is on task and on time to ensure the best chances of honoring promise times. You help out by shuffling vehicles around, pulling tires and filters, etc. You provide updates to your customer service team so they can update the customer.
You promised a thorough inspection and now you have the results to share with the customer. You now reorganize and delegate the work. You follow up with your technicians to ensure safety and proper execution before giving the work order back to customer service to settle with the customer.
This transition is a huge challenge for most owners. Why? Because when you’re not present, it can get scrambled.
Sadly, we exist in a very fragmented portion of the retail market. Finding resources and support isn't easy. However, learning from those who have walked before you isn't as hard as you might think.
I recently sat in on a group conversation where a tire dealer was wondering when and if it was the right time to sell his business. His peers provided their own experiences. His perspective is now different today than before. His perspective has changed.
Hearing from other tire dealership owners that are either dealing with the same issues or have been there and done that is very valuable. The truth is, none of us are alone unless we choose to be and none of our operations should solely rest on the back of one person.
Being an owner/operator is a tough gig. Moving beyond that is yet another. But that's what our industry and our customers deserve. Join your state tire dealer association. Find another independent tire dealer in your area who’s also successful and connect. Reach out to a 20- group and get invited to a meeting as a guest. I promise that if you have plans for improvement and growth you will not be disappointed. Sure, some plans are better than others. But any plan is better than no plan.
As the owner of an independent tire dealership, you are today in a much better position to succeed than most any other time in recent memory. When value is high, you build on it.
